An NRI’s Guide to Buying Property in India
7 min read
Under FEMA, NRIs and OCIs can freely buy residential and commercial property in India. They cannot, however, purchase agricultural land, plantation property or farmhouses — those require specific RBI permission.
Payments must be made through banking channels in Indian rupees, using funds held in your NRE, NRO or FCNR account — not in foreign currency handed over directly. Keep clean records of the source of funds for future repatriation.
Repatriation is allowed within limits: the sale proceeds of up to two residential properties can generally be repatriated, subject to the property having been bought with foreign-sourced (NRE/FCNR) funds and applicable tax being paid. Consult a chartered accountant for your specific case.
Tax matters: buyers must deduct TDS when purchasing from a resident seller, and there are separate, higher TDS rules when the seller is an NRI. Capital-gains tax applies on sale, with indexation and reinvestment exemptions available.
If you cannot be present for registration, execute a registered power of attorney (PoA) in favour of a trusted person in India — many banks and registrars have specific formats and attestation requirements for NRIs.
Do your title and RERA due diligence exactly as a resident would — distance makes a good local lawyer and a trustworthy agent even more valuable.
Our team helps NRI buyers with verified builder floors in Gurgaon and can coordinate remote viewings and documentation.
Ready to take the next step?